BILL NUMBER: SB 942 ENROLLED
BILL TEXT
PASSED THE SENATE SEPTEMBER 12, 2007
PASSED THE ASSEMBLY SEPTEMBER 10, 2007
AMENDED IN ASSEMBLY SEPTEMBER 6, 2007
AMENDED IN ASSEMBLY JULY 5, 2007
AMENDED IN SENATE MAY 8, 2007
AMENDED IN SENATE APRIL 18, 2007
AMENDED IN SENATE MARCH 29, 2007
INTRODUCED BY Senator Migden
FEBRUARY 23, 2007
An act to amend Sections 3201.81, 4658.5, and 4658.6 of the Labor
Code, relating to workers' compensation.
LEGISLATIVE COUNSEL'S DIGEST
SB 942, Migden. Workers' compensation: disability.
(1) Existing Workers' Compensation Law requires employers to
secure the payment of workers' compensation, including medical
treatment, for injuries incurred by their employees that arise out
of, or in the course of, employment.
Existing law provides for the payment of temporary disability
indemnity payments to any injured employee under specified
circumstances, with certain exceptions, and provides that, if an
injury causes permanent partial disability and the injured employee
does not return to work for the employer within 60 days of the
termination of temporary disability indemnity payments, the injured
employee shall be eligible to receive a supplemental job displacement
benefit, as specified.
This bill would, instead, provide that, for injuries occurring on
or after January 1, 2008, if the injury causes permanent partial
disability and the injured employee does not return to work for the
employer within 60 days after the disability becomes permanent and
stationary, the employee shall be entitled to receive a supplemental
job displacement benefit, and would revise the amounts of benefits an
injured employee would be eligible to receive, as specified.
(2) Existing law provides that the employer shall not be liable
for the supplemental job displacement benefit if, within 30 days of
the termination of temporary disability indemnity benefits, the
employer offers, and the employee rejects, or fails to accept,
modified or alternative work, as specified.
This bill instead would provide that an employer shall not be
liable for supplemental job displacement benefits if, within 60 days
of the disability becoming permanent and stationary, the employer
offers the injured employee regular work or modified work. It would
also make a technical, clarifying change.
(3) This bill would incorporate additional changes in Section
4658.5 of the Labor Code, proposed by this bill and AB 1636, to be
operative only if this bill and AB 1636 are both chaptered and become
effective January 1, 2008, and this bill is chaptered last.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 3201.81 of the Labor Code is amended to read:
3201.81. In the horse racing industry, the organization certified
by the California Horse Racing Board to represent the majority of
licensed jockeys pursuant to subdivision (b) of Section 19612.9 of
the Business and Professions Code is the labor organization
authorized to negotiate the collective bargaining agreement
establishing an alternative dispute resolution system for licensed
jockeys pursuant to Section 3201.7.
SEC. 2. Section 4658.5 of the Labor Code is amended to read:
4658.5. (a) (1) Except as provided in Section 4658.6, if the
injury causes permanent partial disability and the injured employee
does not return to work for the employer within 60 days of the
termination of temporary disability, the injured employee shall be
eligible for a supplemental job displacement benefit in the form of a
nontransferable voucher for education-related retraining or skill
enhancement, or both, at state-approved or accredited schools, as
follows:
(A) Up to four thousand dollars ($4,000) for permanent partial
disability awards of less than 15 percent.
(B) Up to six thousand dollars ($6,000) for permanent partial
disability awards between 15 and 25 percent.
(C) Up to eight thousand dollars ($8,000) for permanent partial
disability awards between 26 and 49 percent.
(D) Up to ten thousand dollars ($10,000) for permanent partial
disability awards between 50 and 99 percent.
(2) Except as provided in Section 4658.6, for injuries occurring
on or after January 1, 2008, if the injury causes permanent partial
disability and the injured employee does not return to work for the
employer within 60 days after the disability becomes permanent and
stationary, the employee shall be entitled to a supplemental job
displacement benefit in the form of a nontransferable voucher for
education-related retraining or skill enhancement, or both, at state
accredited schools. The voucher shall not exceed a total amount of
ten thousand dollars ($10,000). The maximum amount of the voucher
available for the payment of tuition, fees, books, and other expenses
required by the school in any one semester, in any one quarter, or
in any other academic term into which the school divides the academic
year shall be prorated for the academic term at a rate not to exceed
five thousand dollars ($5,000) per year.
(b) The voucher may be used for payment of tuition, fees, books,
and other expenses required by the school for retraining or skill
enhancement. No more than 10 percent of the voucher moneys may be
used for vocational or return to work counseling. The administrative
director shall adopt regulations governing the form of payment,
direct reimbursement to the injured employee upon presentation to the
employer of appropriate documentation and receipts, and any other
matters necessary to the proper administration of the supplemental
job displacement benefit.
(c) Within 10 days of the date of the last payment of temporary
disability the employer shall provide to the employee, in the form
and manner prescribed by the administrative director, information
that provides notice of rights under this section. This notice shall
be sent by certified mail.
(d) Except as provided in paragraph (2) of subdivision (a), this
section shall apply to injuries occurring on or after January 1,
2004.
SEC. 2.5. Section 4658.5 of the Labor Code is amended to read:
4658.5. (a) (1) Except as provided in Section 4658.6, if the
injury causes permanent partial disability and the injured employee
does not return to work for the employer within 60 days of the
termination of temporary disability, the injured employee shall be
eligible for a supplemental job displacement benefit in the form of a
nontransferable voucher for education-related retraining or skill
enhancement, or both, at state-approved or accredited schools, as
follows:
(A) Up to four thousand dollars ($4,000) for permanent partial
disability of less than 15 percent.
(B) Up to six thousand dollars ($6,000) for permanent partial
disability between 15 and 25 percent.
(C) Up to eight thousand dollars ($8,000) for permanent partial
disability between 26 and 49 percent.
(D) Up to ten thousand dollars ($10,000) for permanent partial
disability between 50 and 99 percent.
(2) Except as provided in Section 4658.6, for injuries occurring
on or after January 1, 2008, if the injury causes permanent partial
disability and the injured employee does not return to work for the
employer within 60 days after the disability becomes permanent and
stationary, the employee shall be entitled to a supplemental job
displacement benefit in the form of a nontransferable voucher for
education-related retraining or skill enhancement, or both, at state
accredited schools. The voucher shall not exceed a total amount of
ten thousand dollars ($10,000). The maximum amount of the voucher
available for the payment of tuition, fees, books, and other expenses
required by the school in any one semester, in any one quarter, or
in any other academic term into which the school divides the academic
year shall be prorated for the academic term at a rate not to exceed
five thousand dollars ($5,000) per year.
(b) The voucher may be used for payment of tuition, fees, books,
and other expenses required by the school for retraining or skill
enhancement. No more than 10 percent of the voucher moneys may be
used for vocational or return to work counseling. The administrative
director shall adopt regulations governing the form of payment,
direct reimbursement to the injured employee upon presentation to the
employer of appropriate documentation and receipts, and any other
matters necessary to the proper administration of the supplemental
job displacement benefit.
(c) Within 10 days of the date of the last payment of temporary
disability, the employer shall provide to the employee, in the form
and manner prescribed by the administrative director, information
that provides notice of rights under this section. This notice shall
be sent by certified mail.
(d) (1) For injuries occurring on or after January 1, 2008, if the
employee has not returned to work within 60 days of a disability
becoming permanent and stationary, except as provided in Section
4658.6, the voucher shall be provided no later than 74 days after the
date the disability has been determined to be permanent and
stationary. If the percentage of permanent disability has not yet
been determined, the employer shall provide a voucher based on the
reasonable estimate of the percentage of permanent disability, as
required in subdivision (b) of Section 4650. If the percentage of
permanent disability is later determined to be higher than the
estimate, the employer shall provide the additional voucher amount
immediately upon determining the correct percentage of permanent
disability. If the percentage of permanent disability is later
determined to be lower than the estimate, the employer shall reissue
the voucher in the correct amount and notify the employee that any
unused portion of the original voucher in excess of the appropriate
amount is no longer available.
(2) The employer shall notify the employee, in a manner prescribed
by the administrative director, of the determination of the
percentage of permanent disability consistent with this section, and
of any delay in determining the correct percentage of permanent
disability benefits.
(e) Except as provided in paragraph (2) of subdivision (a) and
subdivision (d), this section shall apply to injuries occurring on or
after January 1, 2004.
SEC. 3. Section 4658.6 of the Labor Code is amended to read:
4658.6. The employer shall not be liable for the supplemental job
displacement benefit within 60 days of the disability becoming
permanent and stationary if the employer offers the injured employee
regular work, modified work, or alternative work in the form and
manner prescribed by the administrative director, lasting for a
period of at least 12 months.
SEC. 4. Section 2.5 of this bill incorporates amendments to
Section 4658.5 of the Labor Code proposed by both this bill and AB
1636. It shall only become operative if (1) both bills are enacted
and become effective on or before January 1, 2008, (2) each bill
amends Section 4658.5 of the Labor Code, and (3) this bill is enacted
after AB 1636, in which case Section 2 of this bill shall not become
operative.